LeBlanc Inc

question 73

Multiple Choice

LeBlanc Inc. currently has earnings of $10 per share, and investors expect that the earnings per share will grow by 3 percent per year. Furthermore, the mean PE ratio of all other firms in the same industry as LeBlanc Inc. is 15. LeBlanc is expected to pay a dividend of $3 per share over the next four years, and an investor in LeBlanc requires a return of 12 percent. What is the forecasted stock price of LeBlanc in four years, using the adjusted dividend discount model?

• A)$150.00
• B)$163.91
• C)$45.00
• D)$168.83
• E)None of these are correct.

---

Definitions:

Webinars

Online seminars that allow for interactive participation and are designed to educate or inform a remote audience.

Telepresence

Technology that allows a person to feel as if they are present, to give the appearance of being present, or to have an effect, at a location other than their own.

Team Meeting

A gathering of team members to coordinate actions, share updates, and strategize on projects, essentially a synonym for Group Meetings.

Setting Up

The process of establishing or arranging something to be ready for use.